Policy Paralysis? Bihar Govt loses over 1400 Crores of Revenue in 2013-14

Patna: Bihar Government lost an estimated revenue of Rs 1403 crores in the year 2013-14 due to various irregularities in the taxation, according to the CAG report on revenue sector tabled in the state legislature on Wednesday. This is 1.5 times the total amount of Fodder Scam, which was estimated to be Rs. 940 Crores.

This loss in revenue has been attributed to various departments like state excise, commercial taxes, taxes on vehicles, land revenue, non-ferrous mining, metallurgical industries etc.

In the CAG report, one point worth noting is the loss of Rs. 8.37 crores caused in the Commercial Taxes Department. “The state cabinet had approved increase in entry tax on 11 items, but its notification mentioned just nine items. Whether two items were left out by mistake or deliberately is difficult to say, but the excise department in its compliance report accepted the fact,”, the CAG was quoted saying.

For the financial year 2012-13, the CAG had detected irregularities of over Rs 10,000 crore in Bihar government departments. It also falsified the claims of State Government regarding Sarva Shiksha Abhiyan. It said that Government inflated enrollment figure of students by around 85000. This report was tabled in July 2014.